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HOW ARE GAS PRICES DETERMINED?

• 57% of what consumers pay for a gallon of gas is for crude oil
• 18% for refining
• 12% for distribution and marketing
• 13% for taxes

The current global trading price of crude oil is roughly $74. It can be produced for about $20 globally or $40 in the US. The difference – profits – returns to oil producers.

WHAT CAUSES SPIKES IN GAS PRICES?

• Demand
• Refinery production
• Maintenance
• Local, regional, global impacts

Here are more details of the nuance and the variety of factors that go into determining fuel costs according to the U.S. Energy Information Administration.

According to AAA, Washington’s current spike in gas prices can be attributed to maintenance being done on the Olympic pipeline and restrained supply as a result of the pipeline being temporarily shut down. You can read more about that below:

• New explanation emerges for increase in Washington fuel prices (The Columbian, 6/28/23)

The petroleum industry and organizations funded in part by oil companies such as the Washington Policy Center (pg. 12) are engaged in a coordinated campaign to place the blame of high gas prices entirely on the Climate Commitment Act. In fact, seven of the organizations that must comply with the CCA are listed among the Washington Policy Center’s top donors.

THE FACTS ABOUT THE CCA:

• Around 110 energy plants, oil companies and other industrial facilities are subject to Washington’s cap-and-invest program
• 2023 is the compliance start year for many of these companies
• These companies do not have to prove compliance until November 2024
• These companies have not yet incurred costs as a result of the CCA

LEGISLATION TO WATCH:

Senate Democrats are working to introduce bills during the 2024 Legislative Session to crack down on price gouging and force the largest carbon emitters to be transparent by disclosing their profit margins.

Click here to learn more about how California is currently doing this.

QUOTES FROM SEN. JOE NGUYEN, CHAIR OF THE SENATE ENVIRONMENT, ENERGY & TECHNOLOGY COMMITTEE:

“It is no longer free to pollute in Washington state. Once again, those who are responsible for the damage are unwilling to own up to it. They continue to profit off the harm they are causing while passing along the cost to the consumer. We will not stand for it.”

“Washingtonians have been taken advantage of for too long. It is time for those who have polluted our air and water to bear the cost of the environmental and physical damage they have caused. It is our duty to demand that they pay the debt they owe not only to our planet, but to the people of Washington state.”

Sen. Joe Nguyễn issued this statement following the Legislature’s passage of Senate Bill 5536:

“Today, the Legislature voted in favor of passing Senate Bill 5536, which specifically addresses the Blake decision here in Washington state. While I acknowledge the negative consequences associated with drug criminalization, I firmly believe that at this juncture, this legislation has the potential to drive the implementation of vital support services for individuals grappling with addiction.

“The devastating effects of addiction are alarmingly evident on our streets. This issue extends beyond our local community and afflicts our entire nation. It demands not only immediate attention but also compassionate care. By tackling the underlying systemic issues that perpetuate addiction, we can serve as an example for the nation, illustrating how care and understanding should be central to our fight against this crisis.

“Throughout my tenure representing the 34th Legislative District, I have consistently advocated for a non-judgmental and comprehensive approach to drug policy — one that prioritizes public health over punitive measures. It is with mixed emotions that I acknowledge the necessity of embracing what I perceive as a provisional step of criminalization, with the hope of raising awareness and inciting urgent action.

“My vote does not indicate a departure from my deeply rooted belief that drug addiction is primarily a public health challenge. Rather, it underscores the pressing need for transformative change — an enhanced understanding of the enormity of this issue and a call to mobilize resources to establish accessible prevention programs, treatment facilities, and robust rehabilitation services.

“Current care and support systems are sorely lacking. Consequently, the Legislature has made unprecedented investments to address our state’s behavioral health challenges. Approximately $1.2 billion will be allocated toward the establishment of new treatment facilities, increased community-based housing, and new programs designed to support individuals with chronic illnesses across the state.

“I am steadfast in my commitment to a future where criminalization is replaced by evidence-based strategies, harm reduction initiatives, and a well-informed comprehension of the difficulties faced by those struggling with addiction.”

FOR IMMEDIATE RELEASE – May 9, 2023 

OLYMPIA – Sen. Joe Nguyễn’s (D-White Center) bill to make changes to the candidate filing process passed was signed into law by Gov. Jay Inslee on Tuesday.  

Senate Bill 5182 moves the deadline for candidates to file for office and modifies deadlines for candidate statements prepared for the voters’ pamphlet.  

Currently, candidates only have one week to prepare those statements after filing to run. Allowing them more time to complete these will result in more thoughtful and informative statements for voters. 

SB 5182 also allows auditors more time to produce materials and make them available in multiple languages.  

“We cannot and should not rush democracy. This legislation ensures that both candidates and voters will have more time to thoughtfully engage in the democratic process,” Nguyễn said.  

The bill goes into effect on July 23.  

FOR IMMEDIATE RELEASE – May 3, 2023 

OLYMPIA – Sen. Joe Nguyễn’s (D-White Center) legislation to further advance Washington toward a clean energy future has been signed into law by Gov. Jay Inslee.  

Senate Bill 5165 changes transmission planning from a 10-year to a 20-year timeline. It also requires transmission planners to consider the electricity grid impacts of integrating the large increase of renewable energy projects to ensure Washington increases its capacity to interconnect clean energy projects in future years.  

Thoughtful transmission planning will help ensure Washington meets its obligations to reduce greenhouse gas emissions and provide consistent, renewable and reliable energy in the future.  

“Washington has led and will continue to lead on thoughtful climate policy. We have big goals for our shift to a clean energy future and transmission lines are critical in achieving those,” Nguyễn said.  

The bill goes into effect on July 23.